Target funds are professionally managed according to your target retirement date, typically adjusting to an increasingly conservative allocation as you approach and move through retirement. They are built for investors who expect to start gradually withdrawing funds on the target date to cover retirement expenses. The principal value of the funds is not guaranteed at any time, and will continue to fluctuate up to and after the target date.

Consider if:

You want an easier way to keep your asset allocation strategy in sync with your life stage.

You prefer to delegate the tasks of choosing investments, allocating assets, and rebalancing your portfolio but have limited savings to invest. (You’ll still need to monitor your portfolio to ensure that the fund stays in line with your expectations.)

You want an investment that can be managed with the objective of generating income while keeping a portion of your savings growing.